07 June 2012
1) So does this mean that if the works contract value is greater than 5 lacs in a year, both TDS in Income Tax Act and under MVAT Act has to be deducted?
If yes, can you please show the working on works contract value of say Rs.6 lacs in a year exclusive of any taxes? For eg. which TDS will be applied first(in terms of calculation), Income Tax or MVAT?
2) Does this mean that TDS on MVAT applies only where there is works contract??
3) how am I supposed to take credit/refund for the same? Is the process similar to Income Tax Act. While filing return, we have to mention the TDS. If our tax liability is greater than TDS, then we have to pay the balance and if its less than TDS then the balance we can get it refunded? Or is there some other procedure?
4) Isn't it 4% for URD instead of 5% as you mentioned? Or was there a recent update?